If a boat is bought from an out of state dealer, does the dealer collect tax for that state? Do you have to then pay sales tax in Alabama when you register it? Is it only paid on the state you live in?

You likely get to pay both.

That’s not how cars work, is it?

You damn sure pay the tax here when you get the tag for it here

Not sure on a boat but I’d imagine it’s handled just like a car. I know on a car, the dealer charges you the sales tax for your state and then. remits that to your state for you. Once you go to register the vehicle, they will charge you the local portion of the tax for your county and city. Just did it on a car two weeks ago.

Pay it here. I bought my ranger in Tn and signed an affidavit that I would pay the tax in Bama. Tax rate difference equaled several hundred dollars in savings

You pay the tax rate for the state where the boat will be domiciled. Eclipse, you cannot pick which state you pay sales tax in. If the boat is going to be staying in Alabama, you pay AL tax rate. The hundreds of dollars difference was going to be the city and county taxes that you were going to have to pay when you registered it in your home state that the other state was not authorized to collect. Example. My sales tax is 6.5%. 6% state and 0.50% county. If I buy a boat in TN, I can elect to not pay the tax in TN and just pay the full 6.5% when I get the boat home and register it. Or, I can pay the 6% FL tax rate on the sale in TN and TN will remit those monies to FL on my behalf, and then I pay the Remaining 0.50% county tax here at home when I register the boat. The sales tax is the same either way. Only time there could be a difference is on non registered/non tagged assets like 4 wheelers.

Meemaw said pay up

I don't remember the rates. What I do remember is I signed an affidavit not to pay the Tn tax rate, which was higher than the Alabama tax rate. The difference was several hundred dollars

Maybe the affidavit was my promise to register and be taxed in Alabama?

This is why I bought a used boat from a individual. What I paid and what I reported are two different numbers.

X2 smart man

That’s exactly what you signed. You were basically attesting that the boat was leaving the state of TN and you would take care of the taxes at time of registration in your home state.

In FL they will bust your azz for that. They have a program that compares stated bill of sale values with KBB and pricing sites and if you bought a car or boat worth $50k, and you say on the bill of sale that you bought it for $10k, both the seller and buyer get a nice letter from “the man” telling you that the transaction may be investigated and asking you to attest in writing under penalty of both fraud and perjury that you did indeed sell or buy it for $10k. Both parties are required to sign the letter and return it to the state. I got a buddy that almost got his butt in a pretty big sling over that 3 yrs ago. You’d better be careful about doing that and especially admitting to it on a public forum.

So it is okay to break the laws you don’t agree with.

And openly admit it online?

He just means he reported the value of the boat greater than what he paid because he got such a great deal.

You only register and tax the boat. Get a separate bill of sale for the motor and you don't pay tax on it.

The democrats do so it must be okay for all.

I don't know about with boats and such but when we sell trailers out of state the buyer signs and gets the original copy of a "drive off" form. It's just a form that says they didn't pay taxes in the state of AL, and will pay them in their state. Not sure if that happens with boats. I can assure you that when you register the boat in AL for the first time, you're gonna pay tax. Just did that this week. It stung a little.

Along with the other post about getting a light bar for free, I'm sure this is regular behavior.......